UPDATE 1-Xceed Mortgage swings to Q4 profit

(All figures in Canadian dollars)

* Q4 EPS $0.06 vs loss/shr of $0.79 a year ago

* Rev up 34 percent

Jan 15 (Reuters) - Xceed Mortgage Corp (XMC.TO) swung to a fourth-quarter profit, partly helped by a gain in mortgage sales.

For the quarter ended Oct. 31, the Toronto-based mortgage lender posted a net income of $1.6 million, or 6 cents a share, compared with a net loss of $22.5 million, or 79 cents a share, in the year-ago quarter.

Excluding special items, the company said it earned $0.3 million in the fourth quarter.

Revenue for the quarter was $7.1 million.

The company said fourth-quarter results include a gain of $5.3 million on the sale of mortgages.

Xceed has in the past offered mortgages to uninsured high-ratio mortgages for single-family homes through brokers and bank referrals, that other Canadian commercial banks found too risky.

The company, whose struggle began since the Canadian market for third-party asset-backed commercial paper seized up last summer, has seen the value of its stock collapse about 61 percent in the past year. (Reporting by Antonita Madonna Devotta in Bangalore; Editing by Amitha Rajan)